According to a Wall Street Journal report that cites investors close to SpaceX, the company has agreed to invest $2 billion in Musk’s AI startup xAI. The investment would reportedly be part of the $5 billion equity raise (along with another $5 billion in debt) that Morgan Stanley announced at the end of June.

Musk asked X users publicly last year if Tesla should invest $5 billion in xAI, writing at the time that he was just testing the waters

Tesla will give its shareholders the option to invest in artificial intelligence startup xAI, billionaire owner of both companies Elon Musk said on his social media platform X.